no surprise really.i think the ps2 only recently (last couple years) started to make a profit for sony.the big three are hard pressed to make money off their hardware sales over the life of the product itself.it's one of the reasons sega dropped out after the dreamcast even though at the time they had the superior hardware even compared to the ps1 but couldn't turn a profit with the hardware division and went solely software.course that was mainly due to there not being alot of class AAA titles released on the DC outside of their stuff ,REZ , jet set radio ,powerstone and a few others.hell the DC still lives on today with alot of hardcore peeps making homebrew stuff for it.mine sits in a dark place almost brand new in the closet.
Console makers (except Nintendo with the Wii) do indeed lose money on hardware sales, but 3 billion is abnormally high. Reports are that Sony is still losing near $200 per console, hell that's almost as much as the Wii costs at retail, heh.
The PS2 also started at a loss Logan, but it started turning a profit LONG ago. The 360 is also flipped over from the red to the green as of about 8 months ago.
Is this 3 billion strictly on hardware sales, or their entire videogame department related to the PS3? If it's the latter, that would be bad.
Bag, RROD replacements have supposedly cost MS $1 billion.
blu-ray winning the HD war is huge for PS3. i think we are going to see a lot more people with one in their homes due to the fact that they are still usually the cheapest bluray players on the market. i know i am one of those people. i love my xbox more than anything due to xbox live, but i had to have an bluray DVD player. since i already got a PS3 for the movies....i think "meh, might as well get some games for this bad boy since i already have the system.". i think that will be how it works for a large chunk of people as long as bluray standalone players remain high priced.
deluxe_247 wrote:blu-ray winning the HD war is huge for PS3. i think we are going to see a lot more people with one in their homes due to the fact that they are still usually the cheapest bluray players on the market. i know i am one of those people. i love my xbox more than anything due to xbox live, but i had to have an bluray DVD player. since i already got a PS3 for the movies....i think "meh, might as well get some games for this bad boy since i already have the system.". i think that will be how it works for a large chunk of people as long as bluray standalone players remain high priced.
People buying the PS3 as a blu-ray player is typically bad for Sony right now.
Given that Sony collects about 5 cents of royalties per Blu-ray disc, someone would have to buy a whooolllllleeeee lot of Blu-rays just to break even on that $200 loss they're taking on the hardware.
As you said, if they end up buying a handful of games too then it work out ok though.
Didn't the PS2 originally start out in Japan/the US as mostly being bought because it could play DVDs? Or at least Sony was concerned because people were buying it to play DVDs only? That sounds like what is going on now with Blue-Ray.
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JasonSeahorn wrote:Didn't the PS2 originally start out in Japan/the US as mostly being bought because it could play DVDs? Or at least Sony was concerned because people were buying it to play DVDs only? That sounds like what is going on now with Blue-Ray.
Not at all. DVD was a nice bonus with the PS2, maybe something that could push someone to buying it over a rival console, but it was not nearly the format pushing player that people ever used as a standalone like the PS3 is now.
The PS3 is the absolute best blu-ray player on the market by a large margin, and priced as one of the cheapest. The PS2 was one of the absolute worst DVD players on the market, and priced high for what it was in terms of DVD. Joe Schmo who has no interest in videogames was never buying a PS2 to use as their standalone DVD player.
Ah okay, I remember reading stuff about how a lot of people in Japan were using it as a DVD player, but doing some google research I found out most of those people still played games with it too.
I'll admit I don't know as much about video games as I do football...unless it was on sega genesis and nintendo
Thanks to deluxe_247 for sig, he is welcome to sail with the Captain too! I will win all of the fantasy cafe games.....next year
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by Venom » Fri Jun 27, 2008 12:21 am 
